They were the first contact with gaming for most people since the 70`s, and had a following due to their vastly superior version of games when compared to home consoles of the time. Why they died in U.S.A. while they still going strong in places like Japan?

People are more social in Japan? I don't know. Its even worse in Europe.

People just hung out and didn't play games.

To me they aren't dead! I still enjoy going to Gameworks on occasion, and we even have a major old school arcade near us called The Galloping Ghost that my friends/cousin and I frequent. Its chalked full of old games from the 80's and 90's. You can get in and play endless games for like 15 bucks. Not to mention there's a great bar and some good cheap Mexican food a stone's throw away.. Good times..

Too lazy
Have better games at home
Don't have to pay to play every time they go in
Have online voice chat

Accessibility probably had a lot to do with it. Most kids in the United States would need to find someone to drive them to an arcade.

Times have changed. The only arcade in the us which is very successful is Dave and Busters. Even then, they aren't anything like a traditional arcade

Japan specifically benefits from people living, generally, in pretty densely populated areas with lots of public transportation options, so it's easier to incorporate arcades into a routine. The US is just such a wide place, and the cities are so expensive to own businesses in that arcades aren't typically economically viable in the only places where they might attract big crowds.

Different regions have always had their platform leanings, I'd say. US has primarily (and historically, though it's changing) been a console stronghold whereas many Europeans cut their teeth on Amigas and Sinclaires (again, emphasis on generally). Japan is a handheld/mobile/arcade powerhouse, and bite-sized pay to play models just appeal to hardcore crowds better there, but I'm not in the know enough to really analyze why.

Arcades in Japan seem more like gambling machines? Or am I mistanken here?

The arcades where I grew up slowly filled up with gambling machines. Arcade machines weren't replaced with newer ones anymore either so why play a few old 2D games in the arcade when you can play much better at home for free. And that was really free as piracy was the norm in the eighties and nineties.